Dynamics of cocoon prices and business performance of silk reeling units in Karnataka
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UASD
Abstract
Sericulture is a vital income and employment generating activity particularly to the most
economically weaker sections of the society. Silk reeling is a main link in sericulture industry having
backward linkage with mulberry and cocoon production. Hence the present study was takenup to
analyse the dynamics of cocoon prices and arrivals as well as the performance of different types of
reeling units. Major cocoon markets, namely Ramanagar, Sidlaghatta and Kollegal were selected for
the purpose. The results revealed an increasing trend in both arrivals and prices of silk cocoon over
the years. Higher seasonal indices of cocoon prices were observed during January, April and
December, which were associated with lower indices for arrivals. There were no constant periods
between the cycles in both arrivals and prices in the selected markets. With respect to cost and
returns higher cost of cocoon processing was observed in the cost of multi-end basin followed by
cottage basin and charaka units respectively. However, it was observed from the analysis that the
quality of silk produced in all the three systems of reeling varied significantly. The quality of raw silk
produced by multi-end basin was further as compared to other methods of reeling which fetched
higher since in the silk exchange. The package for introduction of silk reeling in non-conventional
sericulture areas suffers from non availability of good quality cocoons, fluctuation in cocoon prices and
fluctuation in raw silk prices. This package should be reviewed and re-designed to enable this area to
function more efficiently.
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